BTC and ETH Slide, But Social Sentiment Shows Dip Buyers Still Active

The world’s largest crypto asset by market capitalization, Bitcoin (BTC), has taken a sharp turn downward, declining to $98,900. At the same time, Ether (ETH) closely followed the asset as it dropped to around $3,090. However, at the time of writing, both BTC and ETH are slightly on the rise, trading at $101,000 and $3,324, respectively.

The sudden red charts have left many traders and investors wondering how deep the correction will last. But despite the fear and noise, the data reveals a different story. Traders remain confident and continue to accumulate these assets.

Crypto Correction Seen as Opportunity 

Market intelligence platform Santiment disclosed that social sentiment analysis across several platforms revealed that traders are not giving in to panic. Instead, they view the latest pullback as another opportunity to stack more digital assets.

While the drawback is significant, the move is not new or surprising to the crypto space. When the crypto market declines sharply, traders who only want quick profits often sell their assets out of fear or to avoid losses.

Meanwhile, long-term investors who believe in the value of BTC and ETH usually accumulate more coins at a reduced price. In other words, a market dip scares those who are impatient, but attracts traders who understand the risk and are in it for the long run.

Analysts View Current Volatility as a Normal Phase

Notably, with the price of BTC still above its all-time high (ATH) from the previous cycle, the crypto community remains hopeful that recent corrections may signal a turnaround. Ethereum has also seen a strong developer activity. Within the crypto space, many view this event as a healthy retracement phase in the broader bull trend.

Market analysts noted that volatility at this stage of the cycle is normal. In other words, it is not surprising to see prices surge or drop suddenly. Meanwhile, many still believe that the crypto space is approaching a bear market, while others disagree. Data sentiment remains far from bearish.

Apart from these two coins, other major assets, such as SOL and BNB, are also bleeding red. Crypto assets that once reached the top are now being affected by the correction. For now, traders are either selling off to avoid losses or acquiring more to capitalize on the current opportunities.

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